Resolving the PLC integration conflict
January 2001
PLCs, DCSs & Controllers
The automation market has undergone many changes since the early micro PLC - with handheld programmer days. Applications have become larger and more complicated, and the distributor has had to put in place technical infrastructures for the programming and support of these systems. Some distributors have large networks of systems integrators through whom all retail and integration business is channelled.
Other distributors have selected to supply direct to end-users and to integrate the systems themselves. However, conflict will arise when a distributor goes into direct competition with systems integrators for the installation of the end-user's preferred product.
It could be debated that the selection of the end-user's preferred product is due to the distributor's marketing and support efforts. This therefore gives the distributor the right to decide which integration projects and sales it desires for itself and which it will let other systems integrators sell and integrate. This policy, however, leaves other systems integrators no alternative but to seek other products for their engineering applications so that they may be competitive. This situation is not conducive to good business and is likely to have a negative effect on the end-user of the product.
TM Automation recognises that it is not possible to supply the systems integration market with the product and then compete for the engineering projects.
The different needs of all sales partners must be considered in setting up any distribution network comprising of wholesalers, systems integrators, OEMs and end-users. Different, predetermined discount structures must enable the network of recognised sales agents and systems integrators to supply end-users, while not forcing other systems integrators or end users through this sales network.
The Toshiba distribution franchise for Europe, the Middle East and Africa has been privatised and awarded to TM Automation (UK). A marketing and support office has now been opened in Johannesburg. This office will support current Toshiba distribution outlets in South Africa whilst expanding the network of sales partners and systems integrators for the distribution of Toshiba PLCs, inverters and flowmeters.
TM Automation
(011) 867 2737
[email protected]
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